There are so many people looking for a passive income. Getting into cryptocurrency mining is a great option, but it can be hard. There are many things to learn, a lot of factors to consider, and hardware to buy. That may be the case for Bitcoin Gold, but its developers are aiming at making it easier and possible for everyone. Unlike Bitcoin mining, you don’t need an Application-specific integrated circuit (ASIC) computer to start mining Bitcoin Gold.
What is Bitcoin Gold?
Bitcoin Gold is a bitcoin’s hard fork. It tries to fix most of the invalid blocks of bitcoin. It’s developers made it impossible to mine it with ASIC computers.
Application-specific integrated circuit (ASIC) computers are tailor-made machines to mine bitcoin. Luckily, such powerful computers don’t exist for Bitcoin Gold mining. That has made it possible for people to use their home computers to earn a passive income through cryptocurrency mining.
Bitcoin Gold is identical to bitcoin (it’s fore further) in some ways. They both use the same guidelines and have similar processing speeds.
Why Bitcoin Gold Doesn’t Support ASICs?
The main goal for developing Bitcoin Gold was to prevent ASICs mining in the Bitcoin blockchain. ASICs are more efficient and faster in cryptocurrency mining than CPU and GPU miners. They leave no chance for people using home desktops with standard processing speeds to mine. ASICs are also expensive, and not everyone can afford them.
Your success in mining cryptocurrencies depends on your computer’s hash rate. Even the best consumer GPUs and CPUs on the market can’t compete against ASICs.
Most cryptocurrency purists believe that mining cryptocurrencies should be something we can all do. But ASICs make it impossible for people to mine using laptops and desktop computers. Miners earn cryptocurrencies as a reward for solving complex hash functions.
Bitcoin Gold uses non-ASICs mining methods. Of the other remaining mining methods, GPU is ahead of all of them. That is the reason why GPU prices are skyrocketing.
What you need and how to mine Bitcoin Gold?
Before learning how to mine Bitcoin Gold, here are some of the things you need to start your journey:
The most effective method of mining Bitcoin Gold is using a video card (GPU). It is possible to mine using your computer’s CPU, but it is not as effective as using a GPU. Using your computer’s processor to mine Bitcoin Gold is like using a toothbrush to paint a wall.
With a decent CPU, a video card, a good SSD, and some RAM, you are good to start mining Bitcoin Gold. To make good money, you will require a robust system. For more earnings, get several GPUs for your system. Six video cards (GPUs) is a good goal.
The operating system gives life to your computers. For Bitcoin Gold mining, you can either use Linux or Windows operating systems. Windows operating systems are the best for beginners because they are easy to set up and use.
Apart from the operating system, you will need another three or four pieces of software. These pieces of software are for connecting your computer to the blockchain. They also put it to work by solving hash functions for you to earn.
To store the Bitcoin Gold you mine, you will need a cryptocurrency wallet account. Here is how to create a cryptocurrency wallet:
How to create a cryptocurrency wallet
Bitcoin Gold Core Wallet is the official wallet for Bitcoin Gold. You can use third-party wallets, but it is the best if you are planning to start mining Bitcoin Gold.
Steps to setup a Bitcoin Gold wallet
Visit https://bitcoingold.org/downloads/ and then click on the Download button. If you are downloading for a different computer, make sure to select the correct type of operating system below the Download button.
Mac users can download the Bitcoin Gold Wallet using Finder. To do this, open Finder >> Applications, right-click on Bitcoin Gold, and then open it. To avoid issues, when asked where to store the blockchain, I recommend sticking with the default directory, especially if you have enough space in the primary partition.
Blockchain will take some minutes or even hours to download and sync with your network, but after that, you will be able to access and manage your Bitcoin Gold coins.
To avoid future problems when you upgrade your computer, remember to backup your wallet. Click on File > Backup Wallet. The backup, which is a dat file, will contain information about your coins. To be safe from hackers, don’t store it online either on your emails or web drives.
Secondly, open an account with a cryptocurrency company you trust for exchanging the Bitcoin Gold you mine into a flat currency.
2. Mining Software
A mining software connects your computer to the pool or network. The best Bitcoin mining software includes:
Download and Installation steps for EWBF Miner
To download EWBF Miner, visit https://github.com/nanopool/ewbf-miner.
Click on the green Clone or download button.
A pop-up window will appear, click on the Download Zip button to download the zipped file.
After downloading the file, use Winrar to extract it and store it in an accessible location
Open a text editor and create a document with the following text: miner.exe –server <server> –user <address>.<worker> –pass x –port <port> –cuda_devices 0 1 2 3 and save it in the folder containing the extracted files. Remember to replace:
1. <server> with the pool you want to mine on
2. <worker> with any word
3. <address> with your wallet address
4. <Port> the pools port
The final text should be similar to the following:
miner.exe –server <Bitcoin Gold Pool address> –user <Your username> –pass x –port 3333 –cuda_devices 0 1 2 3
Save the file as .bat file
To connect to the network and start mining, double click on the .dat file.
To have a consistent income, I recommend pool mining. Some of the cryptocurrency pools that support Bitcoin Gold mining include:
To see the rest of the Bitcoin Gold mining pools, visit the Bitcoin Gold website. These pools have a tutorial page where you can get the .dat file configuration. Update your .file as per the tutorial of your chosen pool and double click it to start mining.
Now that you know what you need and how to earn Bitcoin Gold, you can keep checking performance on the software or the pool’s website. Check the current value of Bitcoin Gold at Coinmarketcap. To calculate your profit, subtract power consumption cost from the mined value.
It is impossible to go for some days without cryptocurrencies making headlines. They make headlines because some people are using them to earn a living. Crypto is the hottest investing topic right now.
There are many articles on the internet about how people are making millions by investing in cryptocurrencies. Unfortunately, most of the guides on how to make money with cryptocurrency are too technical and complicated for you to understand and implement.
I’m here to let you know that anyone, including you, can start making money with cryptocurrency. By the end of this guide, you will be some of the different ways you can earn money with cryptocurrency and all you need to get started.
Practical ways to make money with cryptocurrency
1. Mining cryptocurrencies
Cryptocurrency mining is a great way to make money in the cryptosphere. All you need to start earning through this method is to invest in powerful computers. When it comes to mining cryptocurrencies, the faster your computer is, the better. A computer with a high processing power will make more coins for you, allowing you to earn more money.
Cryptocurrency mining works by having your computers solving complex mathematical problems. When your computers solve these problems, you earn a cryptocurrency.
These problems get harder and harder with time as more cryptocurrencies are created. You need to know that you will not earn anything if someone else solves the problem before you. Investing in high-end systems is recommended to make more money mining cryptocurrencies.
2. Buy and hold
Buying and holding hit the mind of many people when they hear news about cryptocurrencies. It is an excellent method to start earning with cryptocurrencies. It involves buying some asses like stock and cashing out when interest builds up. After buying, you wait until the price of your chosen currency goes up to sell your assets at a higher rate than you bought them.
For example, the price of Bitcoin in 2013 was around $13. In 2018, the price of 1 Bitcoin went up to $20,000. If you had purchased 100 Bitcoins in 2013, which would have been worth $1300, and sold then in 2018 at the peak price, you would have made approximately $2,000,000.
When buying your coins, I recommend that you opt for those that have been in the market for some time. New coins in the market come at low prices, but some of them disappear after some time. Those that have been around, such as bitcoin, Etherium, Litecoin, and ripple, don’t have such risks. Coinbase is the most beginner-friendly and will give you $10 in bitcoin on your first order above $100.
3. Buy and hold for dividends
In this method, you earn when you sell at higher prices than your buying price. Some currencies such as BitMax, KuCoin, Komodo, Neblio, Neo, PIVX, and NAV coin will pay you dividends for just holding them. Such currencies don’t require you to purchase or own the coin. All you need to do is hold and keep their coin in circulation.
4. Staking cryptocurrencies
Staking cryptocurrencies combines methods 2 and 3. You buy a currency of your choice, hold it, and plan to sell it at a later time to make a profit. You will also receive dividends for holding the coins. It is one of the easiest and safe ways to start making some money with cryptocurrencies. Some of the best currencies for staking include komodo, Neblio, deCRED, PIVX, and Navcoin.
5. Cryptocurrency arbitrage
The cryptocurrency market is a free market that is not under any government’s control. Being a free market, it has price differences across different exchanges. These exchanges allow you to create an account and login to start trading cryptocurrencies. You can start earning money by buying cryptocurrencies from one exchange and selling them to exchanges that are buying at a higher price, allowing you to make profits. Buying cryptocurrencies from one exchange and selling them to another to earn a profit is known as arbitrage. All you need to be doing is tracking which exchange is selling at a low price and which one is buying at a higher price. Beginners can teach themselves using a crypto trading bot known as Cryptohopper. The best exchanges for beginners are Bittrex and Poloniex.
6. Lending cryptocurrencies
If you have some bitcoins or Ethereum, you can put them to work and start earning interest by lending them out. There are several Bitcoin Peer to Peer lending platforms that will allow you to lend your coins and earn 12 to 18 percent return on investment. The best Bitcoin Lending sites for both beginners and experts are Nexo, BlockFi, and Celsius Network.
You need to know that the cryptocurrencies’ lending space is highly unregulated. To make sure that you get your return on investment, you need to choose those you are lending your Bitcoin diligently and make sure to adhere to all policies.